Dow Jones Falls As Nvidia Boosts Profits; Tesla rallies; Lucid, Rivian Dive

The Dow Jones Industrial Average fell 50 points Thursday morning as Apple stock traded above a new buy point. Lucid and Rivian threatened to add to Wednesday’s heavy losses. Retail stocks were on the move as Macy’s and Kohl’s rose higher on earnings news. And chipmakers have rallied behind Nvidia, which jumped more than 10% after its earnings report Wednesday night.

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Among the leaders of the Dow Jones, Apple (AAPL) rose 0.2% on Thursday, while Microsoft (MSFT) fell 0.6% in today’s stock market. Nike (OF) continues to trade below a new buy point after a recent breakout attempt.

Among the leaders in electric vehicles, You’re here (TSLA) rose 1.5% on Thursday.Rivien (RIVN) slipped about 10%, while Lucid engines (LCID) skidded by about 8%. Chinese leaders in electric vehicles Li Auto (TO) andXpeng Engines (XPEV) are located at or near points of purchase.

Graphics chip manufacturer Nvidia (NVDA) in the same way Cisco Systems (CSCO) released results after the close on Wednesday. Somewhere else, Ali Baba (BABA), JD.com (JD), Kohl’s (KSS) and Macy’s (M) reported profit ahead of Thursday’s opening.

Among the best stocks to buy and watch, Alphabet (GOOGL), apple and Shopify (STORE) are located in or near shopping areas.

Alphabet, Microsoft and Tesla are stocks in the IBD ranking. Xpeng Motors was featured in this week’s Stocks Near A Buy Zone article. Apple is an IBD SwingTrader stock and was the IBD stock of the day for Wednesday.

Dow Jones today: claims for unemployment benefits

After the market opened on Thursday, the Dow Jones Industrial Average fell 0.2%, while the S&P 500 rose 0.1%. The high-tech Nasdaq composite gained 0.2% in morning trading, with Nvidia and Advanced micro-systems (AMD) at the top of the list

Among exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) rose 0.3% and the SPDR S&P 500 ETF (TO SPY) gained 0.25% on Thursday. The VanEck Semiconductor ETF (SMH) grew by more than 2%.

The Labor Department reported that jobless claims reached 268,000, excluding Econoday’s estimates which expected initial jobless claims to decline to 261,000 from 267,000 a week earlier.

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Stock exchange rally

The stock market took another break on Wednesday, as major stock indexes posted modest losses. The Nasdaq and the S&P 500 remain just below all-time highs.

The Big Picture commented on Wednesday, “With stock indexes near all-time highs despite a cloudy economic situation, it looks like bears and bulls saw Wednesday as a time to pause.”

For daily stock market commentary, be sure to check out The Big Picture from IBD.

Right now, the current pullback is normal, so investors have good reason to remain bullish on the health of the uptrend. The breakouts of the most important growth stocks remain a fair game. And watch for stocks that hold up best during this week’s weakness; in the future, they may continue to be among the market leaders.

Five best Dow Jones stocks to watch right now

Dow Jones Stocks to Buy and Watch: Apple, Nike

IBD SwingTrader Apple stock is in the buy range above a new cup base with handle with a buy point of 153.27, according to IBD MarketSmith chart analysis, after the breakout of Wednesday. The shares traded up 0.2% on Thursday.

One possible flaw is the line of force relating to the lag of the stock. This line comes out of recent lows in the middle of a four-day winning streak, but the weak RS line indicates a significant underperformance of the stock market relative to the S&P 500. Ideally, the RS line should hit a new high on day of the breakout or shortly thereafter to confirm the action as the market leader.

Stocks to buy and watch: Alphabet, Shopify

Alphabet remains just above a buy point of 2,925.18 on a flat basis, according to IBD MarketSmith’s chart analysis, after Tuesday’s slight decline. The 5% buy zone extends to 3,071.44. Shares were down 0.1% on Thursday.

IBD Inventory CheckshowsGOOGL actionswith a high composite score of 97 on a perfect composite score of 99 IBD. The IBD Composite Score identifies stocks with a mix of strong fundamental and technical characteristics.

Shopify broke a buy point of 1,650.10 in a consolidation on Friday with an increase of over 12%. The stock dropped its buy point during Wednesday’s 2.2% drop. SHOP stock rose 0.5% on Thursday.

Stock market benefits: Alibaba, JD, Macy’s, Kohl’s

Chinese retail giants Alibaba and JD.com released their results ahead of Thursday’s opening. Meanwhile, US retailers Macy’s and Kohl’s have also reported.

Alibaba fell nearly 10% Thursday morning after the company missed its earnings and sales estimates. BABA stock closed more than 40% off its 52-week high on Wednesday.

JD.com rose more than 6% after the company’s third-quarter results beat estimates. JD stocks are climbing on the right side of a giant base, but they are still over 20% of new highs.

Macy’s shares climbed more than 12% Thursday morning after the company handily beat Street’s earnings and sales estimates. Macy’s stock closed above a buy point of 22.40 on Wednesday and is expected to hit new highs as the market opens.

Kohl’s jumped nearly 10% after posting strong third-quarter results before the open, passing a new buy point. The stock is above a buy point of 60.60 in a double bottom basis.

Nvidia earnings

Chip giant Nvidia topped analyst estimates for its third quarter on strong sales of data center processors. The company earned adjusted $ 1.17 per share on sales of $ 7.1 billion, beating estimates which predicted earnings of $ 1.11 per share on sales of $ 6.8 billion. Stocks jumped more than 10% in morning trading.

Nvidia stock closed well above a 230.53 buy point on Wednesday in a consolidation after a breakout on October 25.

Join the IBD experts as they analyze the major stocks in the current bullish stock market trend on IBD Live

Electric Vehicle Inventories: Li Auto, Xpeng, Lucid Motors, Rivian

Li Auto continues to build a mug with a handle that has a buy point of 34.93. Shares fell nearly 2% on Thursday, adding to Wednesday’s 1.8% drop.

Xpeng Motors closed just above a 48.08 buy point in choppy cup base after Wednesday’s 3.4% loss. Shares lost 2.6% on Thursday.

Lucid Motors shares slipped about 8% on Thursday, threatening to add to Wednesday’s 5.35% decline. LCID stock far exceeds a buy point of 28.49 in a cup base with handle.

The hot new Rivian issue risked extending Wednesday’s 15% drop, slipping another 10% in morning trading on Thursday. Despite the stock’s initial rise, remember that investors need to be disciplined when buying new issues. Wait for an IPO base to form and offer a valid point of purchase before considering a purchase. The recent weakness could be the start of its first base formation, so keep an eye out for stock price developments.

Tesla shares

Tesla stock rose about 1.5% on Thursday, seeking to add to Wednesday’s 3.25% rise.

The shares traded as high as 1,243.49 on November 4, but the stock closed on Wednesday around 12% of its 52-week high. TSLA stocks remain well above a buy point of 764.55 in a handle cup, as well as earlier entries at 700.10 and 730. The chart also showed an alternate entry at 900.50.

Dow Jones Executives: Microsoft

Among the main stocks of the Dow Jones, the software giant Microsoft fell 0.6% Thursday. Stocks hit new highs on Wednesday before retreating.

On October 18, Microsoft stock broke a flat base buy point of 305.94. The 5% buy area peaks at 321.24, so the stock is now extended.

Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen to learn more about growth stocks and the Dow Jones Industrial Average.

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